March 1, IRNA - Gold prices held steady on Thursday, after plunging on Wednesday on signs the Federal Reserve could back away from its bond-buying stimulus program.

Gold for April delivery was virtually flat, rising 60 cents to $1,578.60 per ounce. May silver rose slightly, up 8 cents to $28.761 per ounce.
Gold dropped on Wednesday after the Fed hinted that some of its members are doubtful about continuing the central bank?s bond purchases, AP reported.

If the Fed were to end its bond-buying program, that would make gold less attractive to many investors.

The Fed?s bond purchases are meant to spur the economy, but they can also cause inflation. That pushes some investors into gold, because they view the precious metal as a hedge against inflation.

Prices for industrial metals and oil, which tend to mirror how traders feel about economic growth, were down. May copper fell 1.5 percent, down 5.55 cents to $3.5695 per pound. April platinum lost 1.6 percent, down $27.10 to $1,620 per ounce. March palladium fell $2.80 to $733.60 per ounce.

US benchmark crude oil fell $2.38, or 2.5 percent, to $92.84 per barrel in New York, the second drop of 2 percent in two days. Prices were pushed down by a government report that showed the US had more crude supplies than analysts expected.

Brent crude, used to price crude that many US refineries use to make gasoline, fell $2.07 to $113.53 per barrel.